Charitable Giving We work with individuals, families and businesses owners who have done well to do good for their communities through giving. We will assist you, the donor, with programs that offer you the opportunity to address your philanthropic goals while taking advantage of potential tax benefits. The Internal Revenue Service (IRS) allows for the creation of 501(c)(3) tax-exempt charitable organizations for such objectives as relief for the poor, advancement of education and the combating of community deterioration, to name a few.These tax-exempt organizations manifest in one of two ways:Public CharitiesMust receive broad financial support from the publicDonors receive the most favorable tax treatment from the IRSDonations are irrevocable and the charity assumes full fiduciary responsibility over the assetsGift can be unrestricted or restricted for a specific cause or program Private FoundationGenerally created by a single donor - usually an individual, family or businessInvestments are made to generate income, which is then dispersed according to the agency's charitable prioritiesRequires ongoing administration and bookkeepingMakes grants to other charities as opposed to direct funding of their own programsIf you have a desire to give, need a tax deduction, want to offset gains on appreciated assets or just do good, consider giving: Directly to a charity (public)Donor has complete control over which cause/charity to supportReceive immediate beneficial tax treatment from the IRSIdeal for gifts of less than $10,000Once donation is made, donor losses all control of assets Donor Advised FundsRequire no start-up cost and are inexpensive to maintainAllow donors to recommend the charitable organizations and causes to be considered for grantsReceive beneficial tax and operational treatment from the IRSGreat way to support multiple charities over many yearsDonors have input regarding investing of donated assets Planned Giving The five basic categories of planned giving tools that generate billions of dollars for charities each year are: Non-cash gifts - These include real estate, stocks, bonds, business interests, art, and other assets that have been accumulated by donors over their lifetimes. Bequests - These are gifts of assets or actual cash gifts from both wills and living trusts. These typically are not received by the charity until the person dies. Split-interest trusts - These are Charitable Remainder Trusts (CRT) and Charitable Lead Trusts (CLT). Charitable Gift Annuities - These are legal agreements between the charity and the donor whereby the donor gives the charity a sum of money (normally in excess of $25,000) in exchange for a contract with the charity to pay income to the donor(s) for their lifetime monthly, quarterly or annually. Other - Various techniques such as life estates or bargain sales which have a deferred time period or a unique transfer of a large asset at less than current fair market value.These are only a few highlights of the benefits of the most common charitable giving vehicles. Please contact us and we can review the options that might fit your philanthropic needs. In addition, these strategies should be fully coordinated with the guidance of your tax and legal/estate professionals prior to implementation. “A society grows when (people) plant trees whose shade they know they shall never sit in.” - Greek Proverb Are you able and ready to do good? Let's talk! Sources: IRS, American Endowment Foundation, The Financial Awareness Foundation, LPL Financial/Private Trust Company (PTC). Have a Question Name Email Phone Question Thank you! Oops!